The adjusting stage of InvestOps occurs as a response to changes detected in the monitoring stage. It can be viewed as a lightweight version of the planning stage because it is more constrained by existing positions.
The primary input required for this stage is the new information discovered in the monitoring stage. This could be virtually anything but needs to be important enough to warrant adjusting the view or positions.
New information may indicate that it’s time to exit the investment altogether. This is a decision the investor needs to make, and it makes it much easier to manage if exit criteria are specified in the trade plan.
Other times, positions may only need to be adjusted. For example, the trade plan may specify that covered calls should be rolled out 7 days ahead of expiration. For these kinds of adjustments, it helps to have book management tools that support modeling experimental changes to existing positions.
This stage produces a trade plan that accounts for the new information raised in the monitoring stage. It may also change the underlying view or trade plan.
If trading is required, then the process proceeds to the trading stage. Otherwise it returns to the monitoring stage.